SL Govt. making an effort effort to reclaim compensation

21 June 2022 09:23 pm

The Sri Lankan government would make every effort to reclaim the US$ 6.9 million paid to the Chinese fertiliser company, Quingdao Seawin Biotech group in 2021, Agriculture Minister Mahinda Amaraweera said today.

He told the weekly post cabinet news briefing in response to Daily Mirror that the Agriculture Ministry held a discussion with the local agent of the Chinese fertiliser company last week to find a way how Sri Lanka could reclaim the US$ 6.9 million or obtain a consignment of safe carbonic fertiliser to the value of the payment.

“Whatever said and done the negotiations would be conducted in line with the court ruling given on the issue," Minister Amaraweera stressed.

Sri Lanka refused permission to unload 20,000 metric tons of carbonic fertilizer shipped to Sri Lanka by the Quingdao Seawin Biotech in September last year after the shipment of organic fertilizer purchased at a cost of US$ 49.7 million was found to be contaminated with hazardous chemicals and bacteria. The Agriculture Ministry also failed a case against the Chinese company after it refused to take back the fertiliser shipment and Sri Lanka paid US6.9 million as compensation.

Commenting on the cabinet approval given on Monday to use 14,000 acres belonging to the Sri Lanka Railways (SLR) for cultivation of alternative crops, vegetables and fruits, Minister Amaraweera said the government expected to launch a green revolution in the country to come out of the impending food crisis.

The SLR owns about 14,000 acres of state lands round the country but they are mostly abandoned and not used for any commercial or private venture of cultivation. Only 10% of SLR lands are used for any productive purpose. Therefore, the government has decided to lease out these lands to the public for seasonal cultivation of alternative crops other than paddy, he said.

Large amounts of water and fertiliser are not required for these crops and they can be harvested in a few months. (Sandun A. Jayasekera)